How closely do you get to address your market by selling to achieve your marketing goals?
what will you do to improve sales results by next month?
Get more practical
reports about your sales result, know which ratio of sales result applies to
you, don’t just say my sales is going up or my sales is falling down, be exact
and precise in ratio terms and analyze also in cash terms. To get down to
practical sales result analysis, take this lesson from Brain Tracy as follows:
“You may have
heard of the Pareto Principle, the 80/20 rule, which, as it applies to sales,
says that 80 percent of sales are made by 20 percent of the salespeople.
Depending on training, the ratio can be 90/10 or 70/30, but in large national
sales forces, the 80/20 rule holds true. Twenty percent of the salespeople make
80 percent of the sales and earn 80 percent of the commission while 80 percent
of the salespeople make only 20 percent of the sales and share only 20 percent
of the commission.”
You can check
this out in your organization. You have a market size you are addressing, how
closely do you get to address your market by selling to achieve your marketing
goals? Talk in terms of market size. How much are you making from your sales
compared with the size of your market?
If you are not
exceeding your total addressable market annually, then you fall somewhere
around the 80 percent of losers.
Don’t be a sales loser.
What you are losing is
not just sales projection but real cash from sales commissions lost to your
competitions. Check out the sales cash terms Brian Tracy clarifies as
follows:
“What this means
in dollar terms is remarkable! If ten salespeople are making a total of $1
million in sales, in a given period, this means that two of the salespeople are
making $800,000 of sales or approximately $400,000 each, and eight of the
salespeople are making $200,000 of sales, or $25,000 each on average. This is a
ratio of 16 to 1. The top salespeople are outselling the bottom salespeople by
sixteen times!”
A sales manager
should know how much the total sales are worth, how much each salesperson is
worth and then group the salespeople into two: top and bottom.
If you are
grouped among the bottom salespersons and are threatened to improve sales
otherwise you will be fired, for a more competent salesperson that will climb to
the top, in the first few months of being hired, what will you do to improve sales results by
next month?
Don’t think too much!
Learn from those at the top and do what they
do and you will improve like them. That’s all.
It follows that,
as a salesperson, you earn sales commissions commensurate with the percentage
of sales you make.
If you want to be a better salesperson, aim at increasing
the percentage of sales you make in your organization or with your sales force.
The higher the percentage of sales you make, the higher the sales commission
you earn over your competitions.
How much sales
commission is your competition earning at the moment? How much of the sales
commission are you earning? Why not find out why the difference? It must be in
something different that the competition is doing which you are not doing.
The
more you keep letting your competition make more sales than you, the more your
competition earns more commissions on sales and that is how your competition keeps
growing bigger than you.
You don’t want to be the least in the market or be fired from the sales bottom, don’t you?
So,
find out what is making your sales percentage lower than your competition’s
sales percentage and aim for a higher sales percentage.
Is it better training?
If you are lacking in training, then equip yourself first.
If you have a
sales force, invest in training the salespersons each. Don’t compromise
training in sales. It is the only way you can know what is obtainable in
selling strategies, and that is why starting from here with these daily lessons
from Brian Tracy’s Advanced Selling Strategies can keep you agile daily.
Why
not make it a point of duty to watch out for daily updates here?
See you in the
next post.
To your sales
career success,
Francis Bestman
Isugu
Advanced Selling
Strategies Success Coach.
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